Additional Borrowing on Mortgage

One potential reason for remortgaging is to take out additional borrowing on a mortgage to consolidate debt. At Clever Mortgages, we’re experts in helping customers find the right remortgage solution, based on their individual situation, alongside the goals they wish to achieve.

In this guide we focus on a customer who wanted to take out additional borrowing on mortgage to help consolidate their debts. We’ll cover:

How we helped our customer with getting a mortgage product that allowedadditional borrowing – so that he could consolidate debt, and just have onemanageable monthly payment

Getting him a lower rate on his mortgage, and one that was far better than that on his secured loan, meaning what he had to pay out each month was significantly reduced

How we consolidated his loans with his additional borrowing on the mortgage, to make his payments more manageable

Additional borrowing on mortgage

With Clever Mortgages, we were able to help Mr P with:

Bringing down his mortgage rate – we found a mortgage with a trusted lender that reduced his mortgage rate

Consolidating his other debts within his mortgage – meaning his monthly overall repayments were £512 lower

Keeping his mortgage term the same – Mr P was able to achieve all this whilst keeping his mortgage term at 22 years. Meaning the £512 per month saving made no difference to the term at all

Balance

Payment

Rate

Term

Previous Mortgage

£95,279

£526

2.53%

22 years

Previous Secured Loan

£43,470

£472

8%

15 Years

Previous Unsecured Loan

£5,828

£164

3 Years

New Mortgage

£147,079

£650

1.45%

22 Years

Completed 21/03/2019

Our client came to with the aim of consolidating his mortgage with a secured loan he was paying for each month (with an 8% interest rate). At Clever Mortgages our experts always look at each case individually, with the aim of finding the best solution – and achieving each customer’s goals.

We were delighted to be able to take the hassle away from the remortgage process for Mr P: He just had to tell us some details about himself and his financial situation, and discuss the goals he had for his remortgage. We were able to find him a low fixed rate of 1.45%, making a real impact to his monthly repayments: lowering them from £1,162 to £650 – meaning his saving was an impressive £512 each month!

We’ve helped 1000s of customers, with finding a remortgage solution that best suits them.

We help customers achieve their remortgage goals, and we know the best lenders and products to look to for each individual situation.We could give you the best chance of getting on a great remortgage deal, even if you’re:

Needing a mortgage after an IVA Looking to remortgage with a Debt Management Plan Worried about other defaults on your credit file After a bad credit self-employed mortgage

Enquire with us about getting a remortgage with bad credit, and we could:

Search for the right deal for you, even if you’ve got a poor credit history – many of the customers we help have found themselves in a bad credit situation, and might have been on a Debt Management Plan or in an IVA.

Discuss with you the different options available for meeting your specific goals – we can discuss your individual goals for remortgaging with you, and take the hassle away from the remortgage situation.

Make sure your application goes to the best lenders for you – not all lenders offer mortgages to people with a bad credit history, but we know which ones are most likely to say “yes”, and to give you a good rate when they do.

Why should I use a mortgage broker for my remortgage?

You’re likely to only have to do one application – this will save you time, and more applications from being recorded on your credit file

Brokers can advise on what would improve your chances for achieving a specific mortgage goal – e.g. finding a guarantor or opting for a joint mortgage

They can take the hassle of application forms away – talking you through every step, and asking all the right questions

What next?

If you are looking for expert advice on getting a remortgage with bad credit, contact our team today. We are experts in offering solutions to people with bad credit and can help if you need a hand with your next move.

Speak to a broker

Fran Jones

Fran is a specialist mortgage broker, whose been working for Clever Mortgages for 7 years and has over 8 and a half years’ experience in helping customers with bad credit.

Newsletter

THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

By submitting your details you agree to them being used by Clever Mortgages, or an Appointed Representative of Financial Makeover Ltd, to respond to your enquiry. Please note all second charge and commercial products will be dealt with by Clever Lending who are a trading name of Financial Makeover.

Clever Mortgages is a trading name of Financial Makeover Limited. Financial Makeover Limited is a limited company registered in England and Wales with registered number 6111701. Registered Office: Kempton House, Dysart Road, PO Box 9562, Grantham, Lincolnshire NG31 0EA. Financial Makeover Limited is authorised and regulated by the Financial Conduct Authority with registered number 706595. Your initial consultation and any quotations are free and you are under no obligation to proceed with any options that may be available to you. If you choose to go ahead with a mortgage or secured loan, a fee will become chargeable. Our calls may be recorded and monitored for training, compliance and complaint handling purposes. Please note funeral plans, commercial mortgages and some buy to let mortgages are not FCA regulated products.